Q:  Why are cosmetic therapists being taxed?

A:  The Legislature, in consultation with the Department of Taxation, expanded the base of “taxable events” for purposes of the state sales tax.  Language was included in House Bill 95 (the Budget Bill) to expand the tax base to cover “personal services,” including hair removal “and other similar services.”  The relevant statute, Ohio Revised Code Section 5739.01(B)(3)(r), adds to the definition of taxable events for purposes of the state sales tax: “On and after August 1, 2003, personal care service is or is to be provided to an individual.  As used in this division, “personal care service” includes skin care, the application of cosmetics, manicuring, pedicuring, hair removal, tattooing, body piercing, tanning, massage, and other similar services.  'Personal care service' does not include a service provided by or on the order of a licensed physician or licensed chiropractor, or the cutting, coloring, or styling of an individual’s hair.”